Charles Hoskinson proposes selling $100M to buy BTC

The co-founder of Cardano has proposed swapping $100 million USD ADA from the treasury to Bitcoin and stablecoins (USDM, USDA) to inject liquidity into DeFi.

Currently, Cardano has a TVL of ~$356M, but only ~$31M is in stablecoins. Meanwhile, Solana has a TVL of nearly $10B with over $11B in on-chain stablecoins.

Hoskinson reassured that selling ADA will not affect the price but rather is a necessary step to 'save' Cardano due to the lack of stablecoins that are choking the ecosystem. Converting ADA to BTC and stablecoins will also help generate revenue instead of remaining idle.

However, his opinion is controversial as it goes against the statement of Cardano Foundation CEO Frederik Gregaard - who previously stated that TVL is not an important metric in assessing the level of blockchain adoption.